Education Loan from Punjab National Bank

Education Loan - Vidyalakshyapurti

The Scheme aims at providing financial assistance to deserving / meritorious students (Indian Nationals) for pursuing higher professional and technical education in India or abroad.

Studies in India:

1.    Graduation courses – B.A., B.Com., B.Sc., etc.,

2.    Post-Graduation courses, Masters & Ph.D;

3.    Professional courses, Engineering, Medical, Agriculture, Veterinary, Law, Dental, Management, Computer etc.,

4.    Computer Certificate courses of reputed Institutes accredited to Department of Electronics or institutes affiliated to University;

5.    Courses like ICWA, C.A., CFA, etc.,

6.    Courses conducted by IIM, IIT, IISc, XLRI, NIFT, etc.,

7.    Regular Diploma/Degree courses conducted by Colleges/Universities approved by UGC/Govt./AICTE/AIBMS/ICMR,

8.    Regular Degree / Diploma courses like Aeronautical, Pilot training, Shippling etc. approved by Director General of Civil Aviation/ Shippinge, if the course is persued in India. In case the course is pursued abroad, the Institue should be recognised by the competent local (abroad) Aviation/Shipping authority.

9.    Advance Diploma in Banking Technology offered by PNBIIT, Lucknow.

10. Courses offered in India by reputed foreign universities.

11. Other courses leading to Diploma/Degree etc. conducted by colleges/universities approved by UGC/Govt./AITCE/AIBMS/ICMR etc.

12. Courses offered by National Institutes and other reputed Private Institutes.

13. Diploma courses, Diploma Leading to Degree Courses local as well as abroad and courses offered by recognised universitis of repute through distance learning etc.

Studies Abroad:

1.    Graduation- for job oriented professional/technical courses offered by reputed universities abroad.

2.    Post Graduation cources- MCA, MBA, MS, etc. offered by reputed universities abroad.

3.    Courses conducted by CIMA- London, CPA in USA etc.

Students should approach the branch nearest to the place of residence of their parents.

Interest is charged monthly on simple basis during the repayment holiday/moratorium period & concession of 1% in rate of interest is allowed provided the same is serviced regularly during study period.
Punjab National Bank has tied up with Kotak Mahindra Insurance to provide life insurance cover for Student borrowers.

Eligibility: Student eligibility

·         Should be an Indian National.

·         Secured admission to Professional / Technical courses in India or abroad through Entrance Test / Merit based Selection process..

Expenses considered for Loan

·         Fee payable to College / School / Hostel

·         Examination / Library / Laboratory fee.

·         Purchase of books / equipments / instruments / uniforms.

·         Caution Deposit / Building Fund / Refundable Deposit supported by Institution Bills / Receipts, subject to the condition that the amount does not exceed 10% of the total tution fee for entire course..

·         Travel Expenses / Passage money for studies abroad.

·         Purchase of computers - essential for completion of the Course.

·         Insurance premium for student borrower

·         Boarding and lodging expenses in recognised Boarding Houses / private accomondations

·         Any other expense required to complete the course - like study tours, project work, thesis etc.

Quantum of Finance:

Need based finance, subject to repaying capacity of the parents / students with margin and the following ceilings:

·         For studies in India: Maximum Rs.10.00 lacs.

·         For studies abroad: Maximum Rs.20.00 lacs.

Margin:  Upto Rs.4.00 lacs - Nil
Above Rs.4.00 lacs - Studies in India 5% , Studies Abroad 15%

Security:

·         Upto Rs.4.00 lacs:  Co-Obligation of Parents. No Security

·         Above Rs 4.00 lacs and Upto Rs 7.5 lacs: Co-Obligation of Parents together with collateral security in the form of suitable 3rd party guarantee acceptable to the Bank

·         Above Rs 7.5 lacs: Co-Obligation of Parents. Collateral Security of suitable value along with Assignment of future income of the student for payment of installments.

The security can be in the form of land / building / Govt. Securities / Public Sector Bonds / Units of UTI, NSC, KVP, LIC Policy, Gold, Shares/ Mutual Funds/ Debentures, Bank Deposit in the name of the student parent / guardian or any other third party with suitable Margin.
The document should be executed by both the student and the parent/guardian.

Repayment:

Repayment Holiday / Moratorium: Course period + 1 year OR 6 months after getting job, whichever is earlier.
The Principle and interest is to be repaid in 5-7 years after commencement of repayment. If the student is not able to complete the course within the scheduled time, extension of time for completion of course may be permitted for a maximum period of 2 years.

Upfront Fee:
For Study in India - Nil
For Study abroad - @ 0.50% with a maximum of Rs. 5000/-(refundable on availment of the loan amount)

Documentation Charges:
Upto Rs. 4 lacs - Rs. 270/- + Service Tax & Education Cess
Above Rs.4 lacs - Rs. 450/- + Service Tax & Education Cess

Additional Benefits provided to the students by PNB:

·         A rebate of 0.50% in rate of interest permitted to women beneficiaries for loans up to Rs. 10 lac for studies in India and Rs 20 lac for studies abroad for existing as well as new girl student borrowers wef. 08.03.2009.

·         Second time Education Loan can be sanctioned to the same student borrower for completion of next higher course.

·         Reimbursement of fee available.

Check List: While applying for the loan, the borrower is required to furnish the following information/papers:

1.    Loan application on Bank's format.

2.    Passport size photograph

3.    Proof of Address(Permanent) / ID Proof.

4.    Proof of Age.

5.    Proof of having secured pass marks in last qualifying examination.

6.    Letter of admission in professional, technical or vocational courses.

7.    Prospectus of the course wherein charges like Admission Fee, Examination Fee, Hostel Charges etc. are mentioned.

8.    Details of Assets & Liabilities of parents.

9.    In case loan amount is above Rs.4.00 lacs :

10. Detail of Assets & Liabilities of parents/co-obligants/ guarantors.

11. In case loan is to be collaterally secured by mortgage of IP, Copy of Title Deed, Valuation Certificate and Non Encumbrance Certificate from approved Lawyer of the Bank to be obtained at the cost of the borrower.

12. Photocopy of Passport & Visa, in case of study abroad.

13. Any other document/information, depending upon the case and purpose of the loan.

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Education Loan from HDFC

Education Loan

With HDFC bank student education loans, pursue your dream higher studies without worrying for financial assistance. We provide student education loans for all Graduate, Post-Graduate, Engineering, Medical, MBA , Vocational Courses (Multi-Media, ERP) offered by recognized institutions in India. No more running from pillar to post for availing student loans! Our friendly sales managers will guide you in every step to make your dreams into reality.

Features & Benefits - Indian Education

·         Student Loans Upto Rs. 15 Lakhs for education In India

·         Unsecured Lending Upto INR 7.5 Lakhs 

·         No Collateral Or Third Party Guarantee**

·         Wider Range Of Collateral For Loans Above INR 7.5 Lakhs 

·         Residential Property

·         HDFC Bank Fixed Deposit

·         LIC / NSC /KVP

·         Loan available upto tenure of 7 years including moratorium period

·         Repayment to start 1 year after course completion / 6 months after obtaining employment (whichever is earlier)

·         Loans available for short duration/ job oriented courses also

·         Avail the tax rebate, offered under section 80-E of the Income Tax Act 1961 for the entire interest amount paid towards your education loan.

·         E-mail loansupport@hdfcbank.com to receive interest certificate for FY 09-10.

·         Loans available for other course related expenses also!

·         Third Party Guarantee required for loans between Rs 4 lakhs to 7.5 lakhs.

Special privileges:

·         Service At Your Door Step

·         Loans disbursed directly to the educational institution as Per the Fee Schdule.

·         Insurance Protection from HDFC ERGO

·         Gateway To Other Banking Products And Services. 

·         Savings Account.

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Education Loan by State Bank of Mysore

Gyanamitra Educational Loan

Purpose : To enable students with academic brilliance to meet tuition and other fees/maintenance costs/books and equipment and cost of passage for studies abroad etc.for pursuing studies at recognised school/college/institution.
     
Courses Eligible- Higher Studies : Diploma/Graduate/Post-graduate courses in the faculties of Engineering, Technology, Architecture, Medicine, Dental Science, Agricultural Science, Veterinary Science and Computer Certificate courses of reputed institutes accredited to department of electronics or affiliated to university.

Limit :

Amount of loan (in Indian Rupees)	MIN(Rs.)	MAX(Rs.)
Higher Education-In India	10000	10.00lacs
Higher Education- Abroad	10000	20.00lacs

Margin :

Upto Rs.4.00 lacs	Nil
Above Rs.4.00lacs	-
For studies in India	5%
For studies abroad	15%

INTEREST RATES : SCHEMES AND INTEREST RATES ARE SUBJECT TO CHANGES FROM TIME TO TIME.

Second Educational Loan : To enable the students for taking higher education, provided the student secures 60% marks in existing course. The second loan is to be availed only from the branch where the first educational loan has been sanctioned.

Repayment

Technical/Professional Higher studies in India/Abroad : Repayment of loan to commence immediately after disbursal, by the parent/guardian, out of his/her income. Instalments may be nominal (to cover interest portion, atleast) during the period the student is undertaking the studies. The instalments will be stepped up one year after the completion of the course or after the student gets a job,whichever is earlier,so that the loan gets repaid together with interest within a period of 60 to 84 months thereafter.

Security :

Amount.	Security
Upto Rs.4.00lacs	NIL
Above Rs.4.00lacs and upto Rs.7.50lacs	Collateral in the form of a suitable 3rd party guarantee
Above Rs.7.50lacs and upto Rs.10.00lacs	Collateral security by way of immovable property or equal to the loan amount in the form of Government securities /NSCs/Units of UTI
	Guarantee of parents/guardians (in the case of minors, the parent/guardian will execute the documents on behalf of the minor and also in his capacity as co-borrower)/ third party guarantee where sufficient collateral security is not available

Insurance : An insurance policy will be taken on the life of the student borrower for an amount equivalent to the loan amount and the policy should be convertible whole-life one for 25/30 years, convertible after 5 years into one with endowment benefits. The Bank will pay the insurance premia on the policy by debiting it to the loan account. On liquidation of the loan, the policy will be reassigned and delivered to the borrower.

Repayment : Completion of course + 1 year or 6 months after getting a job, whichever is earlier.The interest to be debited monthly on simple basis during the repayment holiday/moratorium period. Penal interest @2% will be charged for amount above Rs.2 lacs for the overdue amount and overdue period.

Interest concession of 1% per annum is available, provided the interest is repaid during moratorium period as and when the interest is applied.

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